Welcome!

Agile Computing Authors: Carmen Gonzalez, Pat Romanski, Liz McMillan, Elizabeth White, William Schmarzo

News Feed Item

Savaria Announces its Best Quarter in History

LAVAL, QUEBEC -- (Marketwired) -- 08/07/14 -- Savaria Corporation (TSX: SIS), North America's leader in the accessibility industry, discloses its results for its second quarter ended June 30, 2014.

Second-Quarter Highlights


--  Record revenue for a quarter, at $22 million, up 13.3%, from $19.4
    million same quarter in 2013;


--  Operating income of $2.6 million, up 33.2% compared to same quarter in
    2013;


--  Earnings before interest, taxes, depreciation and amortization
    ("EBITDA") of $2.7 million, up 6.9%, compared to $2.5 million in same
    quarter 2013;


--  Declaration of a dividend of 3.5 cents per common share;


--  Inflow of net proceeds of $17.6 million following the conclusion of a
    private placement.

A Word from the President

"Results for the second quarter of this year show a growth in demand for accessibility products. Once again, we have achieved best ever results in revenue and EBITDA, with quarterly revenue of $22 million, up 13.3% compared to the second quarter of 2013, and our operating results increased 33.2%," declared Marcel Bourassa, President and Chief Executive Officer of Savaria.

"With more than $17 million in cash, we are in a great position to expand our organic growth strategy and realize any interesting potential acquisition," concluded Mr. Bourassa.

Operating Results (Comparative Analysis with Second Quarter and First Semester of 2013)


--  In the second quarter of 2014, revenue is up $2.6 million or 13.3%, from
    $19.4 million in second quarter of 2013 to $22 million in 2014. For the
    first semester of 2014, revenue is up $3.1 million or 8.4%, from $36.6
    million to $39.7 million.


--  The gross margin for the second quarter of 2014 is up by $801,000, at
    30.6% of revenue compared to 30.5% in the second quarter of 2013. For
    the first semester, the gross margin is up by $1 million, at 29.9% of
    revenue compared to 29.6% in 2013.


--  Operating income for the second quarter of 2014 increased by $643,000 or
    33.2% from $1.9 million in 2013 to $2.6 million in 2014. For the first
    semester, operating income increased by $339,000 or 9.1%, from $3.7
    million in 2013 to $4.1 million in 2014. Were it not for an income of
    $350,000 recorded in the first semester of 2013, operating income for
    the first semester of 2014 would have been up $689,000 or 20.5%.


--  At $1.5 million, net income for the second quarter of 2014 is up 8.5%,
    from $1.4 million for the second quarter of 2013, an increase of
    $121,000. For the first semester, net income is up 3.5%, from $2.7
    million to $2.8 million, an increase of $94,000.


--  EBITDA for the second quarter is up $173,000, from $2.5 million in 2013
    to $2.7 million in 2014, an increase of 6.9%. For the first semester
    2014, EBITDA is up $115,000, from $4.8 million in 2013 to $4.9 million
    in 2014, an increase of 2.4%. Were it not for the income of $350,000
    recorded in 2013, the increase in EBITDA for the semester would have
    been $465,000 or 10.4%.

Share Capital

During the second quarter, the Corporation completed a private placement, issuing 5,750,000 common shares, resulting in net proceeds of $17.6 million. As at June 30, 2014, 29,554,614 common shares were outstanding compared to 23,010,864 as at June 30, 2013.

Dividend

As per the Corporation's dividend policy, the Board of Directors has declared a dividend of 3.5 cents ($0.035) per common share, payable on August 29, 2014 to shareholders of record of the Corporation at the close of business on August 15, 2014. This is an eligible dividend within the meaning of the Income Tax Act.

Savaria Corporation (savaria.com) is North America's leader in the accessibility industry focused on meeting the needs of people with mobility challenges. Savaria designs, manufactures, installs and distributes primarily elevators for home and commercial use, as well as stairlifts and vertical and inclined platform lifts. In addition, it converts and adapts minivans to be wheelchair accessible. The diversity of its product line, one of the world's most comprehensive, enables the Corporation to stand out by proposing an integrated and customized solution for its customers' mobility needs. Its operations in China have substantially grown and the collaboration with Savaria's other Canadian facilities increases its competitive edge in the market place. The Corporation records some 60% of its revenue outside Canada, primarily in the United States. It has a sales network of some 600 retailers in North America and employs some 410 people at its head office in Laval and at its plants and sales offices in Montreal (Quebec), Brampton and London (Ontario), Calgary (Alberta) and Huizhou (China).

Compliance with International Financial Reporting Standards ("IFRS")

The information appearing in this press release has been prepared in accordance with IFRS. However, the Corporation uses EBITDA for analysis purposes to measure its financial performance. This measure has no standardized definition in accordance with IFRS and is therefore regarded as a non-IFRS measure. This measure may therefore not be comparable to similar measures reported by other companies. Reconciliation between net income for the period and EBITDA is provided in the Financial Highlights section below.

Cautionary Notice Regarding Forward-Looking Statements

Certain information in this press release may constitute "forward-looking statements" regarding Savaria, including, without being limited thereto, understanding of the elements that might affect the Corporation's future, relating to its financial or operating performance, the costs and schedule of future acquisitions, supplementary capital expenditure requirements and legislative matters. Most frequently, but not invariably, forward-looking statements are identified by the use of such terms as "plan", "expect", "should", "could", "budget", "expected", "estimated" "forecast", "intend", "anticipate", "believe", variants thereof (including negative variants) or statements that certain events, results or shares "could", "should" or "will" occur or be achieved. Such statements involve known and unknown risks, uncertainties and other factors liable to cause Savaria's actual results, performance or achievements to differ materially from those set forth in or underlying the forward-looking statements. Such factors notably include general, economic, competitive, political and social uncertainties. Although Savaria has attempted to identify the key elements liable to cause actual measures, events or results to differ from those described in the forward-looking statements, other factors could have an impact on the reality and produce unexpected results. The forward-looking statements contained herein are valid at the date of this press release. As there can be no assurance that these forward-looking statements will prove accurate, actual future results and events could differ materially from those anticipated therein. Accordingly, readers are strongly advised not to unduly rely on these forward-looking statements.

www.savaria.com

Facebook: https://www.facebook.com/savariabettermobility

Twitter: https://twitter.com/Mobilityforlife

Complete financial statements and the management's report for quarter ended June 30, 2014 will be available shortly on Savaria's website and on SEDAR (www.sedar.com).

Financial Highlights


============================================================================
(in thousands,
 except per-share
 amounts and
 percentages -                  Quarters Ended     Six-Month Periods Ended
 unaudited)                           June 30,                    June 30,
                  ----------------------------------------------------------
                      2014      2013    Change      2014     2013   Change
----------------------------------------------------------------------------
Revenue            $21,977   $19,397      13.3%  $39,665  $36,600      8.4%
----------------------------------------------------------------------------
Gross margin as a
 % of revenue         30.6%     30.5%      n/a      29.9%    29.6%     n/a
----------------------------------------------------------------------------
Operating costs     $4,135    $3,963       4.3%   $7,824   $7,469      4.8%
As a % of revenue     18.8%     20.4%      n/a      19.7%    20.4%     n/a
----------------------------------------------------------------------------
Operating income    $2,579    $1,936      33.2%   $4,053   $3,714      9.1%
As a % of revenue     11.7%       10%      n/a      10.2%    10.1%     n/a
----------------------------------------------------------------------------
Gain (loss) on
 foreign exchange    $(315)     $126      (350)%     $(6)    $222     (103)%
----------------------------------------------------------------------------
Net income          $1,546    $1,425       8.5%   $2,751   $2,657      3.5%
----------------------------------------------------------------------------
Earnings per share
 - diluted           $0.05     $0.06     (16.7)%   $0.10    $0.11     (9.1)%
----------------------------------------------------------------------------
EBITDA (1)          $2,698    $2,525       6.9%   $4,918   $4,803      2.4%
----------------------------------------------------------------------------
EBITDA per share -
 basic and diluted   $0.09     $0.11     (18.2)%   $0.18    $0.21    (14.3)%
----------------------------------------------------------------------------
Dividends declared
 per share          $0.035     $0.02       n/a    $0.165    $0.10      n/a
----------------------------------------------------------------------------
Weighted average
 number of common
 shares
 outstanding -
 diluted            28,871    23,302       n/a    26,306   23,214      n/a
============================================================================
                               As at     As at
                            June 30,  Dec. 31,
                                2014      2013
------------------------------------------------
Total assets                 $65,844   $49,013
------------------------------------------------
Total liabilities            $28,316   $28,780
------------------------------------------------
Shareholders'
 equity                      $37,528   $20,233
================================================

(1)  Reconciliation of EBITDA with net income provided in the following
      table.

Although EBITDA is not recognized according to IFRS, it is used by management, investors and analysts to assess the Corporation's financial and operating performance.

Reconciliation of EBITDA with Net Income


============================================================================
(in thousands of dollars -            Quarters Ended       Six-Month Periods
 unaudited)                                 June 30,          Ended June 30,
                            ------------------------------------------------
                                    2014        2013        2014        2013
----------------------------------------------------------------------------
Net income                        $1,546      $1,425      $2,751      $2,657
----------------------------------------------------------------------------
Plus:
Interest on long-term debt           144         156         280         330
----------------------------------------------------------------------------
Interest expense and banking
 fees                                 29          24          51          46
----------------------------------------------------------------------------
Income tax expense                   591         532       1,013       1,010
----------------------------------------------------------------------------
Depreciation of fixed assets         244         208         484         381
----------------------------------------------------------------------------
Amortization of intangible
 assets                              190         182         387         383
----------------------------------------------------------------------------
Less:
Interest income                       46           2          48           4
----------------------------------------------------------------------------
EBITDA                            $2,698      $2,525      $4,918      $4,803
============================================================================

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

@ThingsExpo Stories
With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo 2016 in New York. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be! Internet of @ThingsExpo, taking place June 6-8, 2017, at the Javits Center in New York City, New York, is co-located with 20th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry p...
SYS-CON Events announced today that Juniper Networks (NYSE: JNPR), an industry leader in automated, scalable and secure networks, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Juniper Networks challenges the status quo with products, solutions and services that transform the economics of networking. The company co-innovates with customers and partners to deliver automated, scalable and secure network...
Five years ago development was seen as a dead-end career, now it’s anything but – with an explosion in mobile and IoT initiatives increasing the demand for skilled engineers. But apart from having a ready supply of great coders, what constitutes true ‘DevOps Royalty’? It’ll be the ability to craft resilient architectures, supportability, security everywhere across the software lifecycle. In his keynote at @DevOpsSummit at 20th Cloud Expo, Jeffrey Scheaffer, GM and SVP, Continuous Delivery Busine...
Bert Loomis was a visionary. This general session will highlight how Bert Loomis and people like him inspire us to build great things with small inventions. In their general session at 19th Cloud Expo, Harold Hannon, Architect at IBM Bluemix, and Michael O'Neill, Strategic Business Development at Nvidia, discussed the accelerating pace of AI development and how IBM Cloud and NVIDIA are partnering to bring AI capabilities to "every day," on-demand. They also reviewed two "free infrastructure" pr...
SYS-CON Events announced today that T-Mobile will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. As America's Un-carrier, T-Mobile US, Inc., is redefining the way consumers and businesses buy wireless services through leading product and service innovation. The Company's advanced nationwide 4G LTE network delivers outstanding wireless experiences to 67.4 million customers who are unwilling to compromise on ...
SYS-CON Events announced today that Super Micro Computer, Inc., a global leader in compute, storage and networking technologies, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Supermicro (NASDAQ: SMCI), the leading innovator in high-performance, high-efficiency server technology, is a premier provider of advanced server Building Block Solutions® for Data Center, Cloud Computing, Enterprise IT, Hadoop/...
NHK, Japan Broadcasting, will feature the upcoming @ThingsExpo Silicon Valley in a special 'Internet of Things' and smart technology documentary that will be filmed on the expo floor between November 3 to 5, 2015, in Santa Clara. NHK is the sole public TV network in Japan equivalent to the BBC in the UK and the largest in Asia with many award-winning science and technology programs. Japanese TV is producing a documentary about IoT and Smart technology and will be covering @ThingsExpo Silicon Val...
In his general session at 19th Cloud Expo, Manish Dixit, VP of Product and Engineering at Dice, discussed how Dice leverages data insights and tools to help both tech professionals and recruiters better understand how skills relate to each other and which skills are in high demand using interactive visualizations and salary indicator tools to maximize earning potential. Manish Dixit is VP of Product and Engineering at Dice. As the leader of the Product, Engineering and Data Sciences team at D...
The 20th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held June 6-8, 2017, at the Javits Center in New York City, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Containers, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal ...
The age of Digital Disruption is evolving into the next era – Digital Cohesion, an age in which applications securely self-assemble and deliver predictive services that continuously adapt to user behavior. Information from devices, sensors and applications around us will drive services seamlessly across mobile and fixed devices/infrastructure. This evolution is happening now in software defined services and secure networking. Four key drivers – Performance, Economics, Interoperability and Trust ...
SYS-CON Events announced today that CollabNet, a global leader in enterprise software development, release automation and DevOps solutions, will be a Bronze Sponsor of SYS-CON's 20th International Cloud Expo®, taking place from June 6-8, 2017, at the Javits Center in New York City, NY. CollabNet offers a broad range of solutions with the mission of helping modern organizations deliver quality software at speed. The company’s latest innovation, the DevOps Lifecycle Manager (DLM), supports Value S...
With billions of sensors deployed worldwide, the amount of machine-generated data will soon exceed what our networks can handle. But consumers and businesses will expect seamless experiences and real-time responsiveness. What does this mean for IoT devices and the infrastructure that supports them? More of the data will need to be handled at - or closer to - the devices themselves.
Web Real-Time Communication APIs have quickly revolutionized what browsers are capable of. In addition to video and audio streams, we can now bi-directionally send arbitrary data over WebRTC's PeerConnection Data Channels. With the advent of Progressive Web Apps and new hardware APIs such as WebBluetooh and WebUSB, we can finally enable users to stitch together the Internet of Things directly from their browsers while communicating privately and securely in a decentralized way.
In his keynote at @ThingsExpo, Chris Matthieu, Director of IoT Engineering at Citrix and co-founder and CTO of Octoblu, focused on building an IoT platform and company. He provided a behind-the-scenes look at Octoblu’s platform, business, and pivots along the way (including the Citrix acquisition of Octoblu).
Multiple data types are pouring into IoT deployments. Data is coming in small packages as well as enormous files and data streams of many sizes. Widespread use of mobile devices adds to the total. In this power panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, panelists will look at the tools and environments that are being put to use in IoT deployments, as well as the team skills a modern enterprise IT shop needs to keep things running, get a handle on all this data, and deli...
Grape Up is a software company, specialized in cloud native application development and professional services related to Cloud Foundry PaaS. With five expert teams that operate in various sectors of the market across the USA and Europe, we work with a variety of customers from emerging startups to Fortune 1000 companies.
Financial Technology has become a topic of intense interest throughout the cloud developer and enterprise IT communities. Accordingly, attendees at the upcoming 20th Cloud Expo at the Javits Center in New York, June 6-8, 2017, will find fresh new content in a new track called FinTech.
The Internet of Things is clearly many things: data collection and analytics, wearables, Smart Grids and Smart Cities, the Industrial Internet, and more. Cool platforms like Arduino, Raspberry Pi, Intel's Galileo and Edison, and a diverse world of sensors are making the IoT a great toy box for developers in all these areas. In this Power Panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, panelists discussed what things are the most important, which will have the most profound e...
SYS-CON Events announced today that Interoute, owner-operator of one of Europe's largest networks and a global cloud services platform, has been named “Bronze Sponsor” of SYS-CON's 20th Cloud Expo, which will take place on June 6-8, 2017 at the Javits Center in New York, New York. Interoute is the owner-operator of one of Europe's largest networks and a global cloud services platform which encompasses 12 data centers, 14 virtual data centers and 31 colocation centers, with connections to 195 add...
SYS-CON Events announced today that Hitachi, the leading provider the Internet of Things and Digital Transformation, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Hitachi Data Systems, a wholly owned subsidiary of Hitachi, Ltd., offers an integrated portfolio of services and solutions that enable digital transformation through enhanced data management, governance, mobility and analytics. We help globa...